Question 1

Do I need my own agent to lease retail space?

Accepted Answer

It isn't required, but listing agents typically represent the landlord. A tenant representative works for you, widening the search, comparing offers on total occupancy cost and negotiating clauses such as use, exclusivity, signage and assignment. How representation is paid for depends on the agreement and the transaction; this is explained upfront before you engage.

Question 2

How early should I start looking for retail space?

Accepted Answer

Earlier than most expect. Searching, negotiating, lawyer review, permits and build-out can all take time, particularly for restaurants. Starting well before your target opening, or before your current lease's notice deadline, gives you more options and negotiating leverage.

Question 3

What does 'net' or 'TMI' mean in a retail listing?

Accepted Answer

In a net lease, you pay base rent plus a share of property operating costs, typically realty taxes, building insurance and common-area maintenance, often called additional rent or TMI. The lease wording determines exactly what's included, so review it carefully and ask how costs are estimated and reconciled each year.

Question 4

What is percentage rent?

Accepted Answer

Some retail leases add rent equal to a percentage of gross sales above an agreed threshold, on top of base rent. It's more common in shopping centres. The lease defines what counts as gross sales and how they're reported, and these definitions are negotiable.

Question 5

Can I get an exclusive so a competitor can't open next door?

Accepted Answer

Often you can ask for one, but landlords grant exclusives selectively, and how the protected use is defined matters. An exclusive usually applies only within the landlord's property, not to neighbouring properties with different owners.

Question 6

What should a restaurant check before signing?

Accepted Answer

Confirm zoning permits the use, venting and exhaust can be installed to code, a grease interceptor is feasible, gas and power are adequate, and that municipal business licensing, public health and building permit requirements can be met. Make key items conditions of the offer where possible, and confirm requirements directly with the municipality.

Question 7

Will I have to sign a personal guarantee?

Accepted Answer

Many landlords ask for a personal or corporate guarantee, especially from new businesses. The scope, duration and any limits are negotiable. Discuss guarantees with your lawyer before agreeing to them.

Question 8

What is a fixturing period?

Accepted Answer

A period after you receive possession to build out the premises before base rent begins. Whether one is offered, how long it lasts and whether additional rent is payable during it are negotiated terms.

Question 9

Can I sell my business later if I'm in a lease?

Accepted Answer

Usually that requires the landlord's consent to assign the lease. Assignment clauses vary widely, so review the conditions for consent, any change-of-control provisions, and whether your permitted use would suit a buyer.

Question 10

How do you decide which tenants to target for my unit?

Accepted Answer

We start with the unit's physical characteristics, zoning, existing exclusives and restrictive covenants, and the current tenant mix. From there we identify uses that complement the property and avoid conflicts, then market to those operators and to tenant-side brokerages.

Question 11

Should I lease to a restaurant?

Accepted Answer

Restaurants can bring strong traffic, but they involve venting, grease, odour, garbage and higher servicing demands. Consider building suitability, neighbouring tenants, lease protections around these items and whether the use is permitted by zoning.

Question 12

How do you screen prospective tenants?

Accepted Answer

Typically by reviewing the operator's experience, concept, business plan, financial information and proposed build-out, plus how the use fits zoning, the lease's permitted uses and the existing tenant mix. Your lawyer and accountant should be involved in assessing covenant and security.

Question 13

What should I watch for when granting exclusives?

Accepted Answer

Each exclusive limits future leasing. Define the protected use narrowly and clearly, list exceptions for existing tenants and incidental sales, and keep a central record of every exclusive granted so the property is never marketed in breach.

Question 14

Gross or net lease: which is better for a landlord?

Accepted Answer

It depends on the property, market and tenant. Net structures shift operating costs to tenants, while gross leases offer tenants predictability. Whatever the structure, the lease should be clear about which costs are recoverable and how.

Question 15

Can you guarantee how quickly my space will lease?

Accepted Answer

No. Leasing timelines depend on the unit, pricing, market conditions and tenant demand at the time. What we can do is position and market the space thoughtfully and keep you informed throughout.

Question 16

Do you list available retail spaces on this site?

Accepted Answer

No. This site is an educational resource and a way to request representation. Available units are discussed directly based on your requirements.

Question 17

Do you help with buying or selling retail properties?

Accepted Answer

This site focuses exclusively on retail leasing: tenant and landlord representation. If you're considering a purchase or sale, mention it when you get in touch.

Question 18

Which areas do you cover?

Accepted Answer

Toronto and the Greater Toronto Area, including Mississauga, Brampton, Vaughan, Markham, Richmond Hill, Oakville, Scarborough, Etobicoke and North York.

Question 19

Is the information on this site legal advice?

Accepted Answer

No. Content is general and educational only. Every lease is different, so have a lawyer review any offer to lease or lease before signing, and consult an accountant for tax matters.

Question 20

How do I get started?

Accepted Answer

Text 647-342-1355 or submit a consultation request with a short description of your space need or vacancy. You'll receive a reply to arrange a conversation.

Straight answers on retail leasing

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